An effort in Kentucky to fund projects with a new local option sales tax is posing a dilemma for Republican lawmakers.

Democratic Louisville Mayor Greg Fischer is backing the proposal, which would allow public votes on temporary sales tax increases to pay for new projects. But Republican State Senate President Robert Stivers says it's difficult to balance higher taxes against civic improvement.

Another bourbon distillery will be constructed in downtown Louisville.

The makers of Angel’s Envy bourbon announced Tuesday that they’ll build a distillery and visitors’ center in the long-vacant complex across from Louisville Slugger Field. The $12 million investment is expected to create 40 new jobs.

Proponents of a local option sales tax have gained big ally in their legislative fight: Gov. Steve Beshear. The local option sales tax would allow cities to levy an additional tax on top of the state’s current six percent sales tax for specific projects, if local voters approved the new tax.

Louisville Mayor Greg Fischer and Lexington Mayor Jim Gray are the chief advocates pushing the idea, arguing their cities would use the extra revenue for infrastructure projects.

Louisville Mayor Greg Fischer says he's leaning toward running for a second term, and will not run for the U.S. Senate again. Fischer's first bid for public office was in 2008, when he lost the Democratic Primary to run against Republican Senator Mitch McConnell.

Louisville Mayor Greg Fischer presented his Lexington counterpart with a bottle of Woodford Reserve Bourbon today as part of a friendly wager on who will win the Final Four matchup between U of L and UK.

Fischer says Lexington Mayor Jim Gray needs to brace himself for a loss in New Orleans.

“I think later this week you all need to be focused on starting to medicate yourself because there’s going to be a huge disappointment in Catland come Saturday.”